Ghost Kitchens: AMR’s Poll Unveiling the Benefits of Cloud Cooking

The ghost kitchen model, also known as cloud kitchen or virtual kitchen, has rapidly evolved to meet changing consumer preferences. With minimal physical dining spaces, these kitchens cater exclusively to online orders, offering a unique blend of cost efficiency, technology integration, and diverse cuisines.?

To explore what factors professionals believe will drive ghost kitchen growth in the coming years, a recent poll was conducted by Allied Market Research, gathering insights from 400 participants. The poll question was “What aspect of ghost kitchens do you believe will drive their growth the most in the coming years?” Respondents highlighted three primary areas—cost efficiency, technological advancements, and variety of cuisines—with an additional focus on sustainability practices.?

Cost Efficiency and Technological Advancements Grab Maximum Attention?

With 40% of the votes each, cost efficiency and technological advancements emerged as the key drivers of ghost kitchen growth. Ghost kitchens excel in reducing operational costs by eliminating the need for extensive physical infrastructure, such as dining areas and associated labor. This affordability appeals to restaurateurs and entrepreneurs. A recent study published by Toast, Inc.—an American cloud-based restaurant management software company—revealed that the profit margins of traditional restaurants range between 2% and 5%, whereas the profit margin of ghost kitchens is 7% or more. In addition, the scalability of ghost kitchens allows businesses to quickly expand to new markets without substantial investment, supporting their economic viability in competitive markets.?

Equally impactful, technological advancements—including AI-driven order management, predictive analytics, and advanced kitchen automation—are reshaping the ghost kitchen landscape. A 2024 study by published by CloudKitchens—one of the largest cloud kitchen companies—highlighted that ghost kitchens reduced delivery times by 30%. The study further revealed that 60% of the consumers in the U.S. order delivery or pickup at least once a week. The virtual dining brand, MrBeast Burger leveraged app-based integrations and data-driven insights to fulfill orders efficiently across multiple cities, demonstrating the critical role of technology in scaling ghost kitchen operations.?

Variety of Cuisines Gains Traction?

Receiving 20% of the votes, the variety of cuisines offered by ghost kitchens is also a significant growth factor. The versatility of ghost kitchens enables them to cater to a diverse range of tastes, often housing multiple brands under a single roof. For instance, a 2023 survey conducted by UAE's Maristo Hospitality, a QSR hospitality group, stated that more than 50% of customers mentioned variation in food quality as their major aspect while ordering meals online. This diversity not only attracts customers but also fosters innovation by testing niche or experimental cuisines with minimal risk.?

Sustainability Practices Show Untapped Potential?

Interestingly, sustainability practices received no votes in this poll, reflecting either a lack of awareness or prioritization. However, sustainability is becoming increasingly relevant in the food industry. For instance, Just Eat Takeaway.com —a leading on-demand online food delivery platform operating in multiple countries—has partnered with various ghost kitchens and integrated sustainability-focused initiatives to enhance eco-friendly practices across its operations. It has started an initiative to optimize delivery routes using ML and algorithms to reduce fuel consumption and cut down on delivery times, minimizing carbon emissions. In addition, Just Eat has committed to reducing plastic waste by offering customers the option to opt out of single-use cutlery and encouraging partner ghost kitchens to switch to sustainable packaging made from recyclable or biodegradable materials. In 2020, the company launched its "Sustainable Delivery Program," which incentivizes delivery partners to use e-bikes and electric scooters, further reducing carbon footprints.?

While not a primary growth driver yet, sustainability may gain prominence as consumer preferences shift toward environmentally conscious dining.?

AMR Insights?

This poll underscores the dual importance of cost efficiency and technological advancements in driving the future of ghost kitchens, with their combined impact enabling scalable, efficient, and innovative operations. The variety of cuisines adds a competitive edge, while sustainability practices represent an opportunity for long-term growth.?

Ghost kitchens are redefining the online food deliver service industry, merging affordability with cutting-edge technology. As these models evolve, they are poised to meet the demands of a digital-first world while gradually embracing sustainability for a holistic transformation.?

For more insights on optimizing ghost kitchen operations, contact our experts .?

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